Incheon Airport Reduces Commercial Facility Rent... 50% for SMEs and Small Businesses, 20% for Large Corporations

Total Support Expected to Reach 140 Billion Won

[Asia Economy Reporter Yu Je-hoon] Incheon International Airport Corporation announced on the 1st that it has decided to expand the rent reduction for commercial facilities located in Incheon International Airport in accordance with the Ministry of Economy and Finance's 'Support Measures by Industry Related to the Novel Coronavirus Infection (COVID-19)'.

According to the corporation, first, for small and medium-sized enterprises (SMEs) and small business stores, the rent reduction will be expanded from the existing 25% to 50% for up to 6 months. Previously excluded mid-sized and large enterprises will also receive a 20% rent reduction.

The support targets include 16 SME and small business stores located in Incheon Airport (such as City Duty Free, Grand Duty Free), and 32 mid-sized and large enterprise stores (such as SM Duty Free, Lotte Duty Free, Shilla Duty Free, Paris Croissant, CJ Foodville, etc.).

The corporation predicts that the amount of rent reduction due to this measure will reach approximately 140 billion KRW over a maximum of 6 months. For SMEs and small businesses, it is about 12 billion KRW, and for mid-sized and large enterprises, about 130 billion KRW.

The corporation's rent reduction measure will be temporarily applied for up to 6 months until the number of passengers at Incheon Airport reaches 60% compared to the same month last year, and the applicable rent period is from March to August of this year, with the March rent applied retroactively.

Additionally, according to the government's emergency support plan announced on the 18th of last month, all commercial facilities located in Incheon Airport can receive support for rent payment deferral without interest for 3 months.

Goo Bon-hwan, president of the corporation, stated, "With this additional rent reduction policy, the rent reduction for SMEs and small businesses has been expanded, and mid-sized and large enterprises have also been included in the reduction targets," adding, "We expect that the commercial facilities in Incheon Airport will receive practical help in overcoming the COVID-19 crisis."